Which of the following is the best description of a "free rider"? Someone who
A)pays for a good but does not receive any benefit from the good.
B)receives the benefit of a good without having to pay for it.
C)does not produce any goods but is able to consume them.
D)consumes a good until the marginal benefit received from the last unit is zero.
E)consumes a good until the marginal benefit received from the last unit is equal to the marginal cost of producing the good.

Question

Quizplus · Accepted Answer

A free rider is someone who benefits from a good or service without having to pay for it. This often occurs in situations where the good is a public good, meaning it is non-excludable and non-rivalrous, and therefore difficult to exclude individuals from using it even if they do not contribute to its production or maintenance. Free riding can lead to underproduction of public goods and a misallocation of resources.

Which of the Following Is the Best Description of a "Free